S3663-2013 Actions

• Feb 8, 2013: REFERRED TO INSURANCE

S3663-2013 Text

 S T A T E   O F   N E W   Y O R K
 
 S. 3663                                                  A. 4771
 2013-2014 Regular Sessions
 SENATE - ASSEMBLY
 February 8, 2013
 
 IN  SENATE -- Introduced by Sen. ZELDIN -- read twice and ordered print
 ed, and when printed to be committed to the Committee on Insurance
 IN ASSEMBLY -- Introduced by M. of A. THIELE, ENGLEBRIGHT --  read  once
 and referred to the Committee on Insurance
 AN  ACT to amend the insurance law, in relation to prohibiting discrimi
 nation in the issuance or renewal of  homeowner's  insurance  policies
 and to the geographical location of risk of certain policies
 

THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1.

Section 3429 of the insurance law is  amended  to  read  as
 follows:

 

S  3429.  Geographical  location of risks; HOMEOWNERS'; fire, fire and
 extended coverage policies; private passenger automobile insurance poli
 cies. (a) No insurer shall REJECT ANY APPLICATION FOR, refuse  to  issue
 or renew, LIMIT THE TYPE OR AMOUNT OF COVERAGE OFFERED or shall cancel a
 policy of:

 (1)  HOMEOWNERS' INSURANCE, fire insurance or fire and extended cover
 age insurance, or
 (2) automobile  insurance  subject  to  section  three  thousand  four
 hundred twenty-five of this article
 based solely on the geographical location of the risk OR PROPERTY within
 this  state. Such prohibition shall not preclude an insurer from REJECT
 ING AN APPLICATION FOR SUCH COVERAGE BASED ON THE UNREASONABLE  DISTANCE
 OF  THE  RISK  OR  PROPERTY FROM THE INSURER'S ORDINARY SERVICE AREA, OR
 FROM refusing to issue or renew, LIMITING THE TYPE OR AMOUNT OF COVERAGE
 OFFERED or from cancelling such policies [based  on  sound  underwriting
 and  actuarial  principles]  reasonably related to actual or anticipated
 loss experience subject to the applicable provisions  of  section  three
 thousand four hundred twenty-five of this article.
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD06531-01-3
 
       S. 3663                             2                            A. 4771
 (b)  The  superintendent shall by regulation establish procedures with
 respect to notification to insureds of the insurer's specific reason  or
 reasons  for refusal to issue or renew or for cancellation of such poli
 cy.
 

S 2.

Section 3433 of the insurance law is amended to read as follows:

 

S  3433.  Termination  of  contracts or accounts of licensed agents or
 brokers; prohibition; geographical location. (a) No insurer shall termi
 nate or refuse to renew a contract or account of  a  licensed  agent  or
 broker who negotiated policies of:

 (1)  HOMEOWNERS' INSURANCE, fire insurance or fire and extended cover
 age insurance or
 (2) automobile  insurance  subject  to  section  three  thousand  four
 hundred  twenty-five of this article when such termination or refusal to
 renew is based solely on the  geographical  location  of  the  agent  or
 broker  or  GEOGRAPHICAL  LOCATION  of  the  risks for which coverage is
 afforded through such agent or broker.
 (b)  The  superintendent  shall  by  regulation  establish  procedures
 requiring  notification  to  such  agents  or  brokers  of the insurer's
 specific reason or reasons for  termination  or  refusal  to  renew  the
 agent's or broker's contract or account.
 

S  3.  This act shall take effect on the thirtieth day after  it shall
 have become a law and shall apply  to  all  contracts  and  policies  of
 insurance issued or renewed on and after such date.

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